Instruments to Tap Capital Markets for Funding in Housing and Related Considerations Concerning the Sistema Brasileiro de Poupança e Empréstimo

Abstract

At the request of the Secretariat of
 Economic Policy (SPE) at the Brazilian Ministry of Finance
 (Fazenda), the World Bank carried out a second phase of the
 Non-Lending Technical Assistance (NLTA) aimed at supporting
 the Government's ongoing housing sector reform efforts.
 Work provided under Phase II of the NLTA focused on two
 interrelated issues : Proposing the introduction of new
 instruments which will allow lenders to raise long-term
 funds from the capital markets; and Identifying options to
 ensure a better alignment of the Sistema Financeiro de
 Habitação (SFH), with its two pillars SBPE and FGTS, with
 the introduction of new capital market instruments.